LLP vs. Partnership Firm in India

Partnership firm is a type of business in which two or more individuals join together for jointly carrying the business. The Indian Partnership Act, 1932, Section 4, defined partnership as “the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all”.

The persons who maintain the partnership business are individually called ‘partners’ and collectively called as ‘partnership firm’. The name under which their partnership business is carried on called as ‘Firm Name’. In a simple way, the firm is nothing but an abbreviation for partners. The pool money, skills, and other resources, share profit and loss in accordance with terms of the partnership agreement.

Fundamental Characteristics of Partnership are according to Section 4, 

       §  There should be an agreement between the persons who wants to be partners.

       §  The purpose should be carrying on of business

§  The object should be of earning and sharing profits.

§  The business of the firm should be carried on by all of them or any of them acting for all, i.e.

   in the mutual agency.

Limited Liability Partnership entities, the world wide recognized form of business organization has been introduced in India by Limited Liability Partnership Act, 2008. It is a partnership in which partners have limited liability.

Features of LLP (Limited Liability Partnership) are:

1. As a corporate body separate from its members. It has a perpetual succession.

2. Every LLP shall have at least two partners and all the partners are the agents of LLP.

3. It is a form of business which is organized and operates on the basis of agreement.

4. It is easy to become or leave as a partner under LLP.

5. The ownership can easily be transferred under this.

6. As a juristic person, LLP can sue or be sued in its own name. The partners are not liable to be sued     for the debts of the LLP.

7. No exposure to personal assets of the partners except in the case of fraud.

8. Less requirement as to the maintenance of statutory records.

9. Less Government Intervention.

Should I Trademark my Logo??

Have you ever thought to trademark your logo??, the answer actually differs from Blogger to Blogger. But now-a-days the modern bloggers prefer to register their trademark as they are benefited from it. Earlier, Blogs were something informal, which was used to just have a personal communication or connection. But at present they have evolved into Business and Brands Particularly, they have become singleton worth trademarking.

Trademarking extends merely filing an application. Only attractive, strong, unique brands will receive trademark registrations. Therefore, a company must search high and low for any existing mark that can be considered confusingly similar to the authorities.

Even after the registration is done and you get the “name allotment certificate”; later one has to protect the logo so that other singleton does not infringe on their rights. For this, one must go through the steps to protect your trademark rights, which can sometimes include litigation.

There are many Bloggers who have got into many problems in the Trademark process. These bloggers had applied for, or own, federal trademark rights. But they’ve each encountered obstacles along the way. Bloggers thinking about registering their own trademarks will do well to learn from those who have come before them.

The biggest takeaway for bloggers is, to conduct extensive research before pursuing trademark rights. Better yet, research trademarks early in the process. It’s easier to pivot as a young blogger than it is as an established one.

 Thus, receiving federal trademark rights is only the beginning. To continue enjoying the rights and benefits of trademark ownership, you must take steps to protect your trademark. In some cases, there might be a necessity of filing a lawsuit. While unappealing to some, failing to take protective measures can diminish your rights as a trademark owner.

CoinproBiz Solutions has been established to provide exclusive services in the field of Company Registration, Intellectual Property Rights, Trademarking, Copyright Registration and allied services, with the help of specialized and experienced professionals from varied backgrounds such as Company Secretaries, Chartered Accountants, Corporate Lawyers and Business Professionals. We are dedicated to provide the best recommendations and execution for leading, middle market and emerging growth companies to promote their business.

In today’s fiercely competitive marketplace, Intellectual Property Law ensures that your business’ artistic rights are registered with and granted by the appropriate government agencies to protect investment in names, symbols and other representations used to identify your products and services.

Know how to register your “Start-Ups” in India

On January 16, 2016, the Prime Minister of India, Shri Narendra Modi announced a new initiative called “Start-UpIndia” initiative, fostering the promotion of entrepreneurship by creating a system that is conducive for start-ups.

This initiative will provide budding entrepreneurs and experienced businessmen an easier access to funding and incubators by offering them an easy-to-use platform that can be downloaded on to any smartphone device.

However, if you are an Indian citizen, then you allowed to register about six to seven types of business entities in India, specifically, Private Limited Company (limited by shares), Public Limited Company (limited by shares), Public Company (with unlimited liabilities), Company limited by guarantee, Partnership firm, Sole Proprietorship firm and co-operatives as producer company. Non-Indians (foreigners) are allowed to register on a Private limited company (with 100% equities), Private limited company (a joint venture with Indians) and Public limited company (with a minimum of one shareholder and director of Indian citizen). You have to decide which business entity fulfills business expectations. The private limited company is preferred by almost all foreigners (individuals or entrepreneurs), because it has minimal agreement constraints, and it is one of the best choices if you do not have any intentions to raise public funds.

ROC staff will look for the the proposed names for availability or any resemblance with other company names in India. If they find it difficult to approve names that might create confusion in the minds of the public and harm the interest of the promoters, then you will be given up to two opportunities for re-submit the new panel of company names against the fee paid in the first instance for name availability after the original application is filled. Just in two days the name will be allotted for a company. If the name is not adopted within the given 60 days after it is allowed, you may apply for an extension for retention of such name for further period of 30 days on payment of 50% of the fees prescribed for the application at the initial stage. The name allowed shall lapse after the expiry of sixty or ninety days, as the case may be, from the date it is allowed first. If you agree to the allotted name, the “name allotment certificate” will be issued to you. This is called pre-registration process.

Further, after the pre- registration process or the “name allotment certificate” is obtained from the ROC, you have to prepare the Memorandum of Association (MOA) and Articles of Association (AOA) for the proposed company. The format and description are almost similar to other countries of the world. MOA mainly covers the primary, auxiliary and other business activities of the proposed firm. Moreover, AOA gives the guidelines for the standard operations and conduct of the proposed company along with the certified share capital, first directors or founding directors, the names and addresses of first directors and so on.

CoinproBiz Solutions has been established to provide exclusive services in the field of Company Registration, Intellectual Property Rights, Trademarking, CopyrightRegistration and allied services, with the help of specialized and experienced professionals from varied backgrounds such as Company Secretaries, Chartered Accountants, Corporate Lawyers and Business Professionals. We are dedicated to provide the best recommendations and execution for leading, middle market and emerging growth companies to promote their business.

In today’s fiercely competitive marketplace, Intellectual Property Law ensures that your business’ artistic rights are registered with and granted by the appropriate government agencies to protect investment in names, symbols and other representations used to identify your products and services.

Know How to Protect Your Logo

A great logo is like a diamond to your small business. It acts as your abbreviated calling card, summarizing your company’s beliefs, culture and quality without the need for any further explanation. It is not only the symbol but acts like an identity for your company.

One should always register their logo as a trademark in order to ensure that it is protected and that you are given the rights to actually use it. The elements which help the consumer to recognize your logo or to recognize a particular brand are its choice of words, catchy taglines, color, shape, and maybe smell.

Coming to what is a registered trademark, most importantly the owner of the registered trademark has several rights that are not obtained elsewhere.

• The right to allow others to use that trademark on the goods and services.

·         The owner has the right to take action against people found to be encroaching on these rights.

Some benefits are, you can even sell it if you want to add value to your business, or for adding professionalism to your business. Once a trademark is registered the owner may promote it as registered, including by use of the ^(®) symbol, which often conveys professionalism, trustworthiness, and longevity to consumers.

Tips for registering the Trademark:

• 1. Engaging with professional search companies to conduct trademark searches to ensure the name or logo is available

• 2. The authorities will examine the application and guide you whether the trademark is approved for registration or if there are issues standing in its way

• 3. If there are no problem in the way the mark will likely be sent to the opposition to allow other parties the opportunity to object

• 4. If there are no objections then your mark will be registered

Besides, more likely, the registration of the trademark lasts up to 10 after which it has to be renewed but it may vary accordingly to the country.

CoinproBiz Solutions has been established to provide exclusive services in the field of Company Registration, Intellectual Property Rights, Trademarking, Copyright Registration and allied services, with the help of specialized and experienced professionals from varied backgrounds such as Company Secretaries, Chartered Accountants, Corporate Lawyers and Business Professionals. We are dedicated to provide the best recommendations and execution for leading, middle market and emerging growth companies to promote their business.

In today’s fiercely competitive marketplace, Intellectual Property Law ensures that your business’ artistic rights are registered with and granted by the appropriate government agencies to protect investment in names, symbols and other representations used to identify your products and services.